1. Surface Ship Maintenance and Modernization
Third Party Planning Contract Implementation

2. Third Party Planning Agenda
Contract Strategy
Services Available
Ship Class / Homeport Breakdown
Contract Status Update
Contract Structure
Contract Management
Process and Deliverables
Ship Check Management
Long Lead Time Material Support
Induction Schedule
Implementation POA&M, Successes, and Challenges
Paul Murphy MACMO slide
Morgan MACMO milestones slide
ADD MSRA/ABR slides into backup

3. Third Party Planning Contract Strategy
Assistant Secretary of the Navy for Research, Development & Acquisition (ASN-RDA) advocated for greater competition when contracting for depot level maintenance and modernization execution
This direction led to the development of three National contracts which are being solicited and awarded for advanced planning services*
CG 47 and DDG 51 Class
LSD 41/49 and LPD 17 Class
LHA 6 and LHD 1 Class
*DDG 1000 Class, LCS Class, PC 1 Class, and MCM 1 Class not in contract scope
Contracts awarded and administered by NAVSEA HQ
Strategy Supports Pivot to Firm Fixed Price Execution Contracts

4. Third Party Planning Services Available
CNO
CMAV EM CM
Execute CMP assessments
Validate shipboard equipment configuration
Document assessment results
Support tailored to RMC requirements
Assessment Execution
Clarify 2-kilos received using ship checks and interface with RMCs
Continually develop 4E compliant work specifications
Develop CNO availability work package analysis for use by RMCs
Provide technical support to local RMCs during the solicitation process
Planning Support
Identify, procure, and ship long lead time material
Provide support for provisioning of engineering and technical data, configuration management
ILS Support
Support RMCs in addressing technical scope and cost estimates documented in original work item CFRs
Support RMCs in developing growth RCCs and new work items
Execution Support
Analyze availability execution RCCs to support improvements to Master Specification Catalog templates and incorporating lessons learned
Feedback Analysis

5. Strategy supports expiration of existing MSMO contracts
Third Party Planning Ship Class/Homeport Breakdown
Everett
MSMO
Expiration Date
DDG 51 - Sep 15 (D)
DDG 51 – Sep 16 (ND)
Phased implementation plan
2015 – begin CNO availability planning
2016 – begin CM/EM planning
Norfolk
MSMO
Expiration Dates
CG 47 - Sep 15
LSD 41/49 - Sep 15
DDG 51 - Dec 15 (ND)
DDG 51 - Mar 16 (D)
LHD 1 - May 16
LPD 17 – Sep 16 (TSMO)
LPD 19 /24 – Sep 17
San Diego
MSMO
Expiration Dates
LPD 17 - Jun 15
DDG 51 - Sep 15
CG Sep 16
LSD 41/49 - Sep 17
LHA 6/LHD 1 - Sep 18
Strategy supports expiration of existing MSMO contracts

6. CRUDES and LPD/LSD contracts awarded to Q.E.D. Systems Incorporated
Third Party Planning Contracts Status Update
Contract Development Milestones
CG/DDG RFP Released September 2014
CG/DDG Proposals Received 20 October 2014
CG/DDG Contract Award 09 February 2015
First Ship: CG 60 – USS NORMANDY (Avail Start: 23 February 2016)
LSD/LPD RFP Release 17 November 2014
LSD/LPD Proposals Received 06 January 2015
LSD/LPD Contract Award 27 May 2015
First Ship: LPD 18 – USS NEW ORLEANS (Avail Start: 12 December 2016)
LHA/LHD RFP Release 03 December 2015
LHA/LHD Proposals Received 27 January 2016
LHA/LHD Notional Contract Award 10 May 2016
First Ship: LHD 5 – USS BATAAN (Avail Start: 27 November 2017)
CRUDES and LPD/LSD contracts awarded to Q.E.D. Systems Incorporated

7. Contract structure does not utilize Award Fee Boards
Third Party Planning Contract Structure
Contract Type - Cost Plus Fixed Fee
Level of Effort for services provided
One base year, two option years, two award term years
Maximum Fixed Fee of 6%
Performance Incentive Fee
Maximum Incentive Fee of 5%
Predetermined, objective, formula based evaluation factors
12 month performance evaluation period
Government can unilaterally change evaluation factors
Contract structure does not utilize Award Fee Boards

8. Third Party Planning Contract Management
COR Responsibilities
Overall Technical and Fiscal Management
ACOR Responsibilities
Assist COR with performance incentive management
Manage TI technical performance across ports
Drive feedback and institutionalize lessons learned
TPOC/APM Responsibilities
TI Origination – define RMC port level requirements
TI Technical Compliance – Interface with MTs to monitor and document quality of planning services provided
Contract Oversight Team
RMC
SURFMEPP
SEA 21
SEA02
PCO
COR
ACOR
TPOC/APM
Contract Funding
Continuous funding flow is a prerequisite
Hull level estimates developed annually for next fiscal year planning requirements
Incremental funding provided by TYCOM to NAVSEA on a quarterly basis
Funding required to authorize Technical Instructions

9. Minimal legacy planning process changes
Third Party Planning Process and Deliverables
All planning IAW JFMM
Maximize use of local planning personnel
New RMC C300 function:
Advance Planning Manager/Technical Point of Contact
CNO Availability Planning
Work Specification Development
Cost Estimates
Engineering Issues
Work Specification Review/Approval
Face to Face Specification Reviews
Work Package Development
Progress Reporting/Meeting Attendance
Work Package Integration
Work Package Turnover
Support during Solicitation Process
CM / EM Planning
EM work specifications have a mandatory 24 hour turnaround
Minimal legacy planning process changes

10. Continuous planning ship checks utilizing local personnel
Third Party Planning Ship Check Management
Planning floor has 14 calendar days to seek clarification or reject 2 Kilos assigned for planning
Ship checks will be conducted:
ideally, on the vessel in homeport
on a “sister ship” of same class when authorized by RMC PM
out of homeport, when necessary
All ship checks will be coordinated with the RMC PM
All ship checks will be executed utilizing a ship check template and results documented for Government review
Completion of a ship check will be annotated on the standard cost estimating form associated with the work specification
All travel in support of ship checks must be authorized by the Government
Continuous planning ship checks utilizing local personnel

11. Third Party Planning Long Lead Time Material Support
LLTM is defined as material with a procurement lead time greater than 30 days prior to start of an availability
3PP will identify and document LLTM on Work Items during work specification development
RMC PM concurs with LLTM identification and determines whether 3PP needs to procure
Procuring Contracting Officer (PCO) issues a contract modification for purchase of LLTM
When directed by COR/ACOR, 3PP will transfer LLTM to executing shipyard

12. 3PP will warehouse materials that it procures.
Third Party Planning Long Lead Time Material Support
FLEET provides quarterly funding to NAVSEA 02 for LLTM.
Technical Instructions will track the cost of ILS support associated with the labor hours for procurement and inventory.
3PP provides a monthly report that lists all LLTM identified for an availability with details concerning its procurement, shipping and receipt status.
3PP will warehouse materials that it procures.
SIs (Provisioning Technical Documentation (PTD)) and (Technical Manual Contract Requirement (TMCR) for New Technical Manuals for Commercial Equipment/Component)

13. Flexibility to meet NAVSEA/TYCOM/RMC planning requirements
Third Party Planning Contract Management
Technical Instruction – provides clarification of services being procured
Number of work specifications
Meeting attendance
Planning Milestones
Planning POCs
Types of Technical Instructions (TI)
CNO Availability Planning
CMAV/EM/CM Planning
LLTM Procurement Labor
Base Year Period of Performance (POP) = 12 months from contract award
TI POP within CLIN POP
TI developed by RMC, approved by COR, released by PCO
Flexibility to meet NAVSEA/TYCOM/RMC planning requirements

14. Third Party Planning CNSL - CRUDES Induction Schedule
Ship
Ship Name
Avail Type FY
Start Planning
(A-540)
Avail
Start Date
NSA
CG 0060
NORMANDY
SRA4-1
2016
9/1/2014
2/23/2016
SPORT
DDG 0096
BAINBRIDGE
SRA2-1
1/18/2015
7/11/2016
CG 0064
GETTYSBURG
SSRA1
2/8/2015
8/1/2016
DDG 0061
RAMAGE
ESRA
3/22/2015
9/12/2016
DDG 0066
GONZALEZ
EDSRA
4/5/2015
9/26/2016
DDG 0107
GRAVELY
SRA1-2
DDG 0084
BULKELEY
SRA2-2
2017
4/26/2015
10/17/2016
CG 0069
VICKSBURG
7/12/2015
1/2/2017
CG 0068
ANZIO
ICMAV
10/4/2015
3/27/2017
DDG 0094
NITZE
11/1/2015
4/24/2017
DDG 0055
STOUT
SRA3-2
11/22/2015
5/15/2017
DDG 0087
MASON
12/20/2015
6/12/2017
DDG 0103
TRUXTUN
DSRA1
3/20/2016
9/11/2017
Schedule Reflects CNO Availabilities Inducted Through 2QTR FY16

15. Schedule Reflects CNO Availabilities Inducted Through 3QTR FY16
Third Party Planning CNSL – LPD/LSD Induction Schedule
Ship
Ship Name
Avail Type FY
Start Planning A-540
Avail Start Date
NSA
LSD 0046
TORTUGA
SSRA1
2017
7/19/2015
1/9/2017
SPORT
LSD 0041
WHIDBEY ISLAND
PMA3-3
8/18/2015
2/8/2017
LPD 0017
SAN ANTONIO
DPMA
9/13/2015
3/6/2017
MODPRD
2018
5/8/2016
10/30/2017
LPD 0019
MESA VERDE
5/22/2016
11/13/2017
Schedule Reflects CNO Availabilities Inducted Through 3QTR FY16

16. Third Party Planning CNSP - CRUDES Induction Schedule
Ship
Ship Name
Avail Type FY
Start Planning
(A-540)
Avail
Start Date
NSA
DDG 0101
GRIDLEY
DSRA1
2016
3/22/2015
9/12/2016
SPUGET
DDG 0106
STOCKDALE
SSD
CG 0053
MOBILE BAY
SRA3-2
2017
4/26/2015
10/17/2016
DDG 0111
SPRUANCE
SRA1-2
8/23/2015
2/13/2017
DDG 0073
DECATUR
SRA2-1
9/13/2015
3/6/2017
CG 0073
PORT ROYAL
ICMAV
10/10/2015
4/2/2017
CG 0065
CHOSIN
SSRA1
1/17/2016
7/10/2017
Schedule Reflects CNO Availabilities Inducted Through 2QTR FY16

17. Schedule Reflects CNO Availabilities Inducted Through 3QTR FY16
Third Party Planning CNSP – LPD/LSD Induction Schedule
Ship
Ship Name
Avail Type FY
Start Planning A-540
Avail Start Date
NSA
LPD 0018
NEW ORLEANS
DSRA1
2017
6/14/2015
12/5/2016
SSD
LPD 0025
SOMERSET
SRA1-1
2/21/2016
8/14/2017
Schedule Reflects CNO Availabilities Inducted Through 3QTR FY16

18. Repeat RMC Information Sessions/TI Management Training in Dec15
Third Party Planning Implementation Plan – POA&M #
TASK DESCRIPTION
RESPONSIBLE
DATE  1
Conduct process Table Top exercise in Norfolk
SURFMEPP
05AUG2014 2
Conduct process Table Top exercise in San Diego
19AUG2014 3
Conduct Funding Flow / COR workshop #1
SEA 21 / SEA 02
11SEP2014 4
Conduct Funding Flow / COR workshop #2
SEA 21/ SEA 02
19SEP2014 5
Conduct Funding Flow / COR workshop #3
09OCT2014 6
Conduct Mock Availability Exercise #1 with RMCs
CNRMC
17OCT2014 7
Finalize SEA 21 / CNRMC integrated FTE requirement
SURFMEPP / CNRMC 8
Review model with Fleet / OPNAV at STAR Board F2F
SEA 21 / CNRMC
30OCT2014 9
OPNAV validate and load into model
OPNAV N43
15NOV2014 10
Conduct Mock Availability Exercise #2 with RMCs
16DEC2014 11
Conduct TI Management Training at MARMC
SEA21/SEA02
15FEB2015 12
Brief MARMC WFO/ENGINEERING Personnel
SEA21/CNRMC 13
Brief CNSL N43 Staff/Port Engineers 14
Conduct TI Management Training at SWRMC
18MAR2015 15
Brief SWRMC WFO/Engineering Personnel
17MAR2015 16
Brief CNSP N43 Staff/Port Engineers 17
Conduct TI Management Training at NWRMC 18
Brief NWRMC WFO/Engineering Personnel
19MAR2015 19
Paul Murphy MACMO slide
Morgan MACMO milestones slide
ADD MSRA/ABR slides into backup
Repeat RMC Information Sessions/TI Management Training in Dec15

19. Repeat RMC Information Sessions/TI Management Training in Dec15
Third Party Planning Implementation Plan – POA&M #
TASK DESCRIPTION
RESPONSIBLE
DATE  20
Conduct Mock Availability Exercise #3 with RMCs
CNRMC
14APR2015 21
Brief MARMC WFO/ENGINEERING Personnel
SEA21/CNRMC
25JUN2015 22
Brief CNSL N43 Staff/Port Engineers 23
Conduct TI Management Training at MARMC
18AUG2015 24
Brief SWRMC WFO/Engineering Personnel
SEA21/SEA02
14JUL2015 25
Brief CNSP N43 Staff/Port Engineers 26
Conduct TI Management Training at SWRMC
15JUL2015 27
Brief NWRMC WFO/Engineering Personnel
16JUL2015 28
Brief Port Engineers at FMMS
02SEP2015 29
Codify LLTM Procurement Process
30SEP2015 30
Codify TI Origination/Revision Process 31
Codify TI Funding Process 32
Codify RMC TPOC/GAPM Roles & Responsibilities
Paul Murphy MACMO slide
Morgan MACMO milestones slide
ADD MSRA/ABR slides into backup
Repeat RMC Information Sessions/TI Management Training in Dec15

20. Third Party Planning Implementation Successes
Conducted onsite implementation briefs in MARMC, SWRMC and NWRMC AORs.
Issued 31 Technical Instructions to support: planning of CNO availabilities, LLTM procurement and meeting attendance requirements. (22 CRUDES, 9 LPD/LSD)
15 CNO TIs for CRUDES & LPD/LSD issued:
1884 Work Notifications submitted (73% on WIs)
584 Work Items developed (35% passed to Government Review)
Examples:
USS NORMANDY
258 WNs assigned to QED
256 WNs being planned on 157 WIs
125 WIs in Government Review
USS STOCKDALE
200 WNs assigned to QED
185 WNs being planned on 74 WIs
31 WIs in Government Review

21. Questions?

22. Back Up Slides

23. Third Party Planning Performance Incentive Fee
Accuracy of the work specification
Based on seven objective attributes:
Location of work
Identification
References
Requirements - phraseology
Chronology
Tests and Inspections
Reports
Utilize the existing JFMM specification review process
Accuracy is determined on initial Government review of specification
No “attribute” errors allowed - validated by the RMC Project Manager
Fee calculated using TOTAL number of work specifications developed
IAW - JFMM Vol. VII Chap. 4 Append. E
90% accuracy rate required to start earning incentive fee

24. Third Party Planning Performance Incentive Fee
Master Specifications Catalog (MSC) Improvement
Fee based on number of template recommendations submitted
Changes recommended must result in reduction of RCCs during execution
Recommendations must be supported by trend analysis from execution of at least two availabilities
Recommendations affecting multiple ship class standard work templates increases fee earned
Utilize existing JFMM process for submitting MSC feedback
Submit to RMC Standards Coordinator
Forward to MSCMO and ACOR
Continuously improve and reuse planning products to drive standardization

25. Technical Instruction (TI) Purpose
Specific to the requirements of the Third Party Planning (3PP) Contract
Must be within the scope of the contract and Performance Work Statement (PWS)
Does not change the PWS or amend the contractual requirements
Identifies and provides funding requirements to the 3PP activity
Used to invoke optional PWS paragraphs to specific needs of the Maintenance Team
Assessment support required during planning period
Availability execution support related to Ship Building Specialist (SBS) requirements
CFR/RCC processing
Used to clarify milestone or other performance requirements
Tasking to the Third Party Planning activity is governed by the Technical Instruction. The Technical Instruction provides the mechanism for the Maintenance Team to refine the planning requirements identified in the contract Statement Of Work. The TI cannot be used to change statement of work requirements, only to clarify or provide more specific information related to the planning effort. The TI must be in place prior to the Project Manager providing any tasking by Tasking memo to the planning activity.
TI References:
Department of Defense COR Handbook, March 22, 2012, Director, Defense procurement and Acquisition Policy
NAVSEA Instruction E Contracting Officer’s Representative
SUPSHIP Operations Manual, Chapter 3, Contracting and Contract Administration
Delegation of Contracting Officer Authority, NAVSEAINST D, Ser 02/035, 3 MAR 04

26. Technical Instruction (TI) Requirements
Base year period of performance (POP) covers 12 months from date of award
CG/DDG base year POP: 2/9/2015 to 2/8/2016
LPD/LSD base year POP: 6/1/2015 to 5/31/2016
TI POP must fall within contract year POP
Three main TI requirements
CNO Availability: By ship, by availability
CM/EM Availabilities: By port, by class
Long Lead Time Material (LLTM): By port, by class

27. CNO Periods of Performance Example
BASE YEAR
OPTION YEAR 1
BULKELEY
2/8/2016
4/26/2015
CLIN Period of Performance
2/9/2015
NORMANDY
2/12/2015
NITZE
11/1/2015
2/9 - 2/8/2017
2/9 - 2/23/2016 TI
ISSUE
2/9 – 10/17/2016 TI
ISSUE
2/9 - 2/8/2017 TI
ISSUE
CLINS Change
CLIN 0001, 0002, etc.
CLIN 1100, 2100, etc.
Technical Instructions will only cover the planning requirements necessary during the associated CLIN POP
Multiple Technical Instructions may be required for a specific CNO availability
Technical Instructions POP must fall within associated CLIN POP

28. Third Party Planning Implementation Challenges
Milestones:
JFMM requires update to reflect new contract strategy requirements
Different milestone definitions and intervals across RMCs impacts planning and clear expectations of the Third Party Planner
3PP Process Standardization across RMCs:
Document , train, and verify to ensure R&Rs are understood
Performance Incentives – Work Spec FPY/MSC Feedback
LLTM Procurement
TI Origination/Revision
TPOC/GAPM Roles and Responsibilities
TI Annual/IncrementalFunding
3PP Product Standardization across RMCs:
CDRL A001 Work Item IGE content
CDRL A005 Integration Schedule/Turnover Book
Modernization Funding:
Multiple funding lines ( ) per hull to fund each specific alteration creates undue burden on BFMs/SEA 02 and the contractor for financial tracking/management.
Performance Issues - NMD:
Multiple planning reports not functional (Composite Work Package, Departure Report, etc.)
TI numbering is too generic - tracking multiple availabilities across RMCs problematic
3PP cannot apply MD rate to work item estimates at availability level
3PP cannot access CSWT IGE – must develop estimate from scratch (NMD role issue)